Planning on spending a lot of money on a designer watch for something other than the instant gratification of owning a beautiful fashion accessory? You’ll want to read this first!
Like luxury cars, the resale value of fine, luxury watches differs for each make and model. In the collateral lending (pawn) world, we see many owners of expensive watches disappointed that their timepiece is not the investment they believed it to be.
The truth is that not all luxury watches are a good investment. Some lose their value as soon as you leave the store, some retain their value, but the good ones exceed their value, over time. There are many factors that decide why one luxury watch is a timeless investment piece and another one is just a very expensive fashion bauble that, though very important to you, is no longer worth what you paid for it. If you’d like your watch to be as valuable when it’s time to sell it as when you bought it, you need to consider the following: the make and model of a watch, the popularity of a watch, and the demand in the market for certain brand names and models.
By the way, contrary to popular belief, the best way to buy a luxury watch is not buying a new one. When you buy a previously-owned luxury watch from a reputable second-hand store (or pawn shop) versus a brand-new one at a retail store, you minimize your cost and therefore maximize your investment. What you’ll get is a win-win deal — a fine watch that keeps its value but you don’t shell out the big bucks for it.
So which luxury watches give you the best bang for your buck? In decreasing order, here are the best investments for your hard-earned money.
The top 5 best investment luxury watches
Patek Philippe
This Swiss watch is the masterpiece, the jewel in the collection of any knowledgeable collector. A Patek Philippe watch will cost the most but you can be assured that it will definitely stay as valuable as when you bought it, if not more. Certain rare models can cost as much as a million dollars, but there are plenty in the $5,000 to $10,000 range that can be a great investment to pass on to your children, loan against, or sell quickly, in a pinch.
Rolex
Most known and popular watch in the world, this Swiss watch’s name is synonymous with success. A Rolex watch will be the easiest one to loan against or sell, because it is so well-known and always in demand.
Audemars Piguet
Another Swiss watch that is very well-known in the luxury market, an Audermars Piguet timepiece can cost a few thousand up to tens of thousands of dollars. Like the Rolex watches, most models of Audemars Piguet are very good resale pieces.
Cartier
This French designer is renowned for its fashion icon status but also its classic watches for men and women. Unlike other fashion designer watches, the Cartier watches are known for keeping their purchase value. Be aware that the most recent models are usually in bigger demand than the previous decades’, or sometimes discontinued models, which don’t depreciate as well.
Vacheron Constantin
This is another collector’s favorite though not quite as known by the general public as the previous brand-names. This Swiss watchmaker’s pieces start at around $3,000 for regular models, but some rare Vacheron Constantine watches can be sold for tens of thousands of dollars to the right connoisseur.
When you want your fine watches to keep their purchase value through time, these are the names to keep in mind!
I know absolutely ZERO about jewelry and investments and this is really informative! Great info!
Glad to be of service, then! Thanks for reading, MelAnn 🙂
I was only familiar with Rolex and Cartier and had no idea people could use watches as an investment. Very good to know!
Rolex is still the most well-known luxury watch worldwide, Michelle. Glad you found this info useful!
do quartz watches hold their value at all (cartier, audermars piguet)… also where does omega stack up in your mind (ladies constellation with diamonds/stainless steel & yellow gold) vs tag hauer?
Quartz watches don’t hold their value as much as mechanical or automatic watches. Though Omega is not in the same bracket as a Cartier or Audermars Piguet watch, it is a little better than the Tag Hauer at retaining its value.
Trouble with omega constellation watches is their bracelets are a poor design and the pins cone loose all the time
yes. my opinion is that zenith.its.my.pick.top.5
Is it still ok to buy a new tag heur aqua racer automatic? Can you recommend a watch on that price range that you think is better. Thanks
My favorite watch is Rolex because of it’s stainless steel . And I want buy it .
Sweet guide. Buying watches as investment can be a difficult skill to obtain. This definitely helps out, thanks for sharing 🙂
I am so tired of Rolex.
I LOVE the look, but there are so many counterfeit models or similarly styled ones- it takes the uniqueness away from the experience of purchasing one.
On top of that, Rolex says it sells one million watches every single year not to mention the huge “gently-used “market.
Sure, there’s plenty of demand but how special will you feel knowing this.
What do you think of the new Cartier Tank MC?
They have a strong presence, style and now substance with the new in-house movement.
Jaeger LeCoultre Grand Reverso..classic, simple but still unique?
Whats exciting is to imagine which new brands will be the future superstars 30yrs from now!!!
What are your thoughts the potential of brands like Roger DuBuis, Arnold and Son and F.P.Journe?
I’m thinking about buying the new 007 limited addition omega as it looks great but I am equally expecting it to hold good value so that I can pass it in to my son one day. What are your thoughts on this please
Omegas and great watches, but you will take a bath when it’s time to sell/trade. Rolex, Panerai, Audemars Piguet, and Patek Phillipe rule the watch world. Omega watches are not cheap. Why not save a little more money and buy something of better value?
What about Omega ?
Shame they don’t tell you what the watch movement calibre reference is.
surprisingly….right on the money!
I am a collector for many years now. I can safely say that whatever brand you purchase new, you will loose money when you want to resell. The new buyers, whether auction houses, second hand stores etc will squeeze you on the value (hey, they need to make profits too). My advice is buy the watch that you enjoy wearing. In terms of limiting your loss over time (or like this article said, the appreciation in value of some very highly sought after pieces), the best 2 brands are Rolex (even though rolex is a very mass market luxury brand but the built and quality of their watches are examplary) and Patek Philippe in terms of resale value. In terms of brand equity, patek is still way number one. The other top level luxury brands like Blancpain, Breguet, Audepars Piguet, Vacheron Constantin etc are very respectable “maisons” with an impressive history but I can assure you, that these will also lose their value. I have puchased a brand new audemars royak oak choronograph in blue diala dnstainless steel, one of their iconic watches just a few years back, it is in prestine condition with box and paper, I wanted to resell this piece recently and many second hand stores propose 30 to 40% of retail price!
For the rest of the brands such as Tag Heuer, Baume & Mercier, Longines, Breitling etc. they are high marketed watches with absolutely no aftermarket value. They are standard watches hyped up by their megapowerful parent companies’ cash flow to create image. Omega has done quite a bit in recent years to improve their know-hows but is still considered an entry level luxury watch. Sorry, don’t mean to be harsh here with my comments but that’s the reality in the luxury watch market. Not many can purchase the likes of the very top brands, just like not many can afford a ferrari. Therefore, choose one that you really like and feel good wearing instead of thinking of passing to your children for investment value as trends change, evne for brands like patek, one of my friends bought a calatrava ehite gold model that was 32mm in diameter. Today, the trend is for large sized watches, no one wants to purchase his watch!
If I may add.
The brands mentioned (especially Audemars and Patec) are known that they have very high servicing costs.
If you take that into consideration Rolex is your best bet at value retention. I personally would also limit it to only steel sports watches from said brand.
what about Omega or Chopard?
I am currently torn between buying a Jaeger-LeCoultre Deep Sea Chronograph, or the Rolex Deepsea D-blue dial celebrating James cameron’s dive. Which would you recommend in terms of long term investment. On one hand you have the first dual colour dial Rolex on the other the watch maker for watch makers who actually supply many of the parts to the worlds best watches including Patek Philipe. Help??
I just read your article on luxury watches being a good investment. I am interested in purchasing a used ladies Rolex. It has a blue Mother of Pearl dial with diamonds. I found the vender on Tradesy and the price is over 70% off the regular price. It has a stainless steel case & bracelet.
I just want your opinion on whether this would be good but for me as a first time owner of such an expensive watch? ( I’ve only owned a Movado). I looked at a used 18k yellow gold Ladies Presidential Rolex, but couldn’t breakdown an spend $10k for it. I could sleep at night, spending $2,610.00
Thank you for your opinion.
R Farrer
Sent from my iPhone
how about cartier tank or baloon blue as an invesment
Girard Perragaux and certain scarce Ebels should also be considered.
Great reading I have a Cartier 18 CT ladies watch from about 1960 is that a good investment in great condition
High end watches have delicate movements. There are many other high end watches but not even close to the same class as Audemers Piguet. The Audemars Piguet watch is a royal look watch. I have been using my Audemars Piguet Replica from last two years without having any kind of problem….
All the timepieces discussed above have a unique blend of sense and unique style in them. All the watches are no exception and looks really cool in terms of style.
What’s your thoughts on Breitling?
Where is the best place to re-sell a luxury watch? Online?